East Lancashire Warehousing goes under

Darwen-based haulier East Lancashire Warehousing Company (ELW) has gone into administration with the loss of 60 jobs. Paul Flint and Brian Green from KPMG Restructuring have been appointed joint administrators to the warehouse and distribution business, which had an annual turnover of £5.6m.

The company ceased to trade immediately following the appointment of the administrators, and 60 of the firm's 65 members of staff have been made redundant. Flint, associate partner at KPMG in Manchester, says: "East Lancashire Warehousing Company Limited has been serving customers in the North West and nationally for more than 90 years. Sadly, the loss of key contracts has forced the closure of the business with the loss of 60 jobs. We are now seeking buyers for the company's assets."

A total of five members of staff have been kept on by administrators to help with the winding up.Ian Maudsley, manging director at ELW, was unavailable for comment as Commerical Motor went to press.

ELW was authorised for 60 vehicles and 90 trailers at its facility in Eccleshill Road Darwen, as well as 10 vehicles and 30 trailers at GEC Junction in Accrington. The company covered the BB, PR and FY postcodes in the north west of England for the United Pallet Network (UPN). Pegasus Express will take over the PR and FY postcodes, while Chorlton Express will assume the BB work.

Dave Brown, UPN director says: "It's unfortunate this has happened, ELW was a very good member company. I would imagine the rising cost of fuel also contributed to what happened."